East Asia & Pacific | Forest rents (% of GDP)
Forest rents are roundwood harvest times the product of regional prices and a regional rental rate. Development relevance: Accounting for the contribution of natural resources to economic output is important in building an analytical framework for sustainable development. In some countries earnings from natural resources, especially from fossil fuels and minerals, account for a sizable share of GDP, and much of these earnings come in the form of economic rents - revenues above the cost of extracting the resources. Natural resources give rise to economic rents because they are not produced. For produced goods and services competitive forces expand supply until economic profits are driven to zero, but natural resources in fixed supply often command returns well in excess of their cost of production. Rents from nonrenewable resources - fossil fuels and minerals - as well as rents from overharvesting of forests indicate the liquidation of a country's capital stock. When countries use such rents to support current consumption rather than to invest in new capital to replace what is being used up, they are, in effect, borrowing against their future. Statistical concept and methodology: The estimates of natural resources rents are calculated as the difference between the price of a commodity and the average cost of producing it. This is done by estimating the price of units of specific commodities and subtracting estimates of average unit costs of extraction or harvesting costs. These unit rents are then multiplied by the physical quantities countries extract or harvest to determine the rents for each commodity as a share of gross domestic product (GDP).
Publisher
The World Bank
Origin
East Asia & Pacific
Records
63
Source
East Asia & Pacific | Forest rents (% of GDP)
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
0.55109086 1970
0.54870765 1971
0.62016285 1972
0.96070574 1973
0.73932826 1974
0.74745063 1975
0.77366713 1976
0.76524168 1977
0.64951201 1978
0.87658107 1979
0.9530612 1980
0.58902862 1981
0.75548167 1982
0.65056901 1983
0.41716815 1984
0.40416489 1985
0.38322973 1986
0.40134137 1987
0.33993795 1988
0.36257323 1989
0.32234278 1990
0.30028821 1991
0.31798431 1992
0.29063324 1993
0.25764474 1994
0.27235985 1995
0.2772115 1996
0.23557921 1997
0.22580288 1998
0.15560651 1999
0.1457492 2000
0.15296572 2001
0.16139607 2002
0.20697181 2003
0.14540676 2004
0.14619945 2005
0.17069922 2006
0.22546236 2007
0.26146199 2008
0.21796783 2009
0.20655304 2010
0.18892108 2011
0.17366653 2012
0.17219481 2013
0.20863723 2014
0.15388222 2015
0.15233483 2016
0.18979845 2017
0.16167966 2018
0.14763037 2019
0.14614478 2020
0.12960136 2021
2022
East Asia & Pacific | Forest rents (% of GDP)
Forest rents are roundwood harvest times the product of regional prices and a regional rental rate. Development relevance: Accounting for the contribution of natural resources to economic output is important in building an analytical framework for sustainable development. In some countries earnings from natural resources, especially from fossil fuels and minerals, account for a sizable share of GDP, and much of these earnings come in the form of economic rents - revenues above the cost of extracting the resources. Natural resources give rise to economic rents because they are not produced. For produced goods and services competitive forces expand supply until economic profits are driven to zero, but natural resources in fixed supply often command returns well in excess of their cost of production. Rents from nonrenewable resources - fossil fuels and minerals - as well as rents from overharvesting of forests indicate the liquidation of a country's capital stock. When countries use such rents to support current consumption rather than to invest in new capital to replace what is being used up, they are, in effect, borrowing against their future. Statistical concept and methodology: The estimates of natural resources rents are calculated as the difference between the price of a commodity and the average cost of producing it. This is done by estimating the price of units of specific commodities and subtracting estimates of average unit costs of extraction or harvesting costs. These unit rents are then multiplied by the physical quantities countries extract or harvest to determine the rents for each commodity as a share of gross domestic product (GDP).
Publisher
The World Bank
Origin
East Asia & Pacific
Records
63
Source